CH4 Global signs first offtake agreement to export reduced-methane beef

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Aug 06, 2024, 05:00 ET

Historic partnership with CirPro will scale production of Asparagopsis-based feed supplement, Methane Tamer™, to supply at least 100,000 cattle per day and meet growing global demand for low-carbon beef

HENDERSON, Nev., Aug. 6, 2024 /PRNewswire/ -- CH4 Global Inc., a climate tech company on a mission to dramatically reduce greenhouse gas emissions from livestock, today announced the signing of its first offtake agreement to export reduced-methane beef from Australia. This milestone agreement with CirPro (Australia) will enable the companies to scale production of CH4 Global's Asparagopsis-based feed supplement, Methane Tamer™, to meet the growing global demand for sustainably produced, low-carbon beef.

Under the terms of the agreement, CH4 Global will significantly increase the supply of Methane Tamer™ to CirPro and its feedlot partners, HB Rural and Mort & Co. This will allow for the production of reduced-methane beef from at least 100,000 cattle per day, with a significant portion destined for export markets where consumer demand for low-carbon sustainably produced beef is surging. The first shipment of reduced-methane beef is slated for export later this year, following the successful commercial implementation of Methane Tamer™ in South Australian beef feedlots earlier this year.

"This offtake agreement is a game-changer for the global beef industry and a major milestone in our mission to bend the climate curve," said Dr. Steve Meller, CEO of CH4 Global. "By partnering with industry leaders like CirPro, HB Rural, and Mort & Co, we are now positioned to meet the burgeoning international demand for beef with a significantly lower carbon footprint."

Methane Tamer™, a 100%-natural feed supplement, leverages whole Asparagopsis seaweed to reduce enteric methane emissions from cattle by up to 90%. According to CirPro CEO Reg Smyth, the additive also improves productivity, with cattle in the trials achieving the same weight gain as the control group while consuming less feed.

To support the rapid scaling of Methane Tamer™ production, CH4 Global is currently constructing a new state-of-the-art facility, the EcoPark, north of Port Lincoln in South Australia. Scheduled to begin operations this fall, the EcoPark will enable large-scale production of the Asparagopsis-based supplement to meet the growing global demand driven by the CirPro offtake agreement and future partnerships.

Livestock farming, particularly cattle production, is a significant contributor to global greenhouse gas emissions, with the digestive process of ruminant animals accounting for approximately 30% of all human-driven methane emissions. Methane is a potent greenhouse gas with more than 80 times the warming potential of carbon dioxide over a 20-year period. As the world grapples with the urgent need to reduce greenhouse gas emissions to mitigate climate change, solutions like Methane Tamer™ that can dramatically reduce livestock methane emissions are critical.

As governments worldwide increasingly move to regulate livestock emissions, as evidenced by Denmark's recent announcement of a tax on cattle emissions, the demand for proven methane-reduction solutions like Methane Tamer™ is expected to skyrocket. CH4 Global and its partners are well-positioned to capitalize on this trend and deliver significant value to investors while making a substantial impact on global greenhouse-gas emissions.

About CH4 Global
CH4 Global is on a mission to deliver gigaton-scale emissions reductions by 2030 using whole dried Asparagopsis seaweed -- the safest and most effective way of targeting livestock methane. The company's flagship product, Methane Tamer™, leverages Asparagopsis to reduce enteric methane emissions in cattle by up to 90%. Through its innovative EcoPark cultivation system, CH4 Global is scaling rapidly to meet global demand, ensuring profitability throughout the supply chain without relying on subsidies. Headquartered in Henderson, Nevada, with operations in Australia and New Zealand, CH4 Global is pioneering a new era of sustainable animal agriculture; to learn more, visit www.ch4global.com.

Media Contact
Greg Frost
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SOURCE CH4 Global, Inc.